Buy FuboTV Following Its Recent Selloff: This 1 Chart Explains Why
Is the glass half full or half empty? It's a question investors struggled to answer of streaming cable company fuboTV (NYSE: FUBO) following Wednesday's post-close release of its fourth-quarter numbers. Shares initially tumbled on lackluster guidance for the quarter now underway, then rallied an impressive 10% -- with the rest of the market -- during Thursday's regular trading, only to fall again in Thursday's after-hours action. Topping revenue and subscriber estimates may or may not be good enough, it seems.
Largely lost in all the near-term noise is a much brighter future than the recent sell-off would suggest awaits. With or without this past week's volatility, the stock is still down on the order of 80% from last year's highs despite the company's clear potential. You just have to look far enough into the future to see this prospective growth.
For the record, fuboTV ended the final quarter of fiscal 2021 with 1.13 million paying subscribers who collectively contributed $230 million worth of revenue to the company. That's 186,000 more customers than it was serving at the end of Q3, and that top line was up 119% year over year (after stripping out the benefit of last year's acquisition of French streaming-television start-up Molotov).
Source Fool.com
